Data Centers in San Diego

San Diego – High-Performance Edge for Southern California

San Diego: A Strategic Alternative to Los Angeles

San Diego provides a resilient edge for organizations that require immediate access to the Southern California population without the congestion of the Los Angeles corridor. This market is a specialized hub for defense and life sciences where physical proximity to research clusters directly impacts operational speed. Selecting this location ensures a high level of security and low latency for mission-critical workloads.

San Diego: At A Glance

Network & Connectivity Ecosystem

San Diego offers a stable interconnection environment for regional traffic and vital cross-border connectivity with Mexico. The infrastructure is purpose-built to handle the high-bandwidth requirements of research and defense sectors.

Carrier Density & Carrier Neutrality: There are 15–20 providers operating in the market as of December 2025. Most facilities are carrier-neutral. They provide diverse fiber paths to ensure high uptime and competitive pricing for transit.

Direct Cloud On-Ramps: There are 0 direct cloud on-ramps in this market as of December 2025. Enterprises typically access major cloud regions in Los Angeles via private network extensions or high-capacity transport circuits. These connections usually maintain latency below 5 milliseconds.

Internet Exchange Points (IXPs): Public peering is limited within the metro area. Most network traffic exchanges occur through private peering or via the exchange ecosystems in nearby Los Angeles to reach global networks.

Bare Metal: High-performance bare metal services are available in the market through providers such as phoenixNAP and Hivelocity. These allow for rapid deployment of physical infrastructure without long-term colocation commitments.

Power Analysis

The energy landscape in San Diego is defined by a heavy shift toward renewable sources and industrial utility rates that reflect the California market.

Average Cost Of Power: Industrial electricity is approximately $0.19/kWh as of December 2025. The generation mix consists of roughly 45% fossil fuels and 40% renewables. These costs require a focus on cooling efficiency to manage operational budgets effectively.

Power Grid Reliability: The local grid is well-engineered with multiple substation supports to serve the dense cluster of data centers. Redundancy is standard across the major corridors to protect against local outages.

Market Access, Business & Tax Climate

San Diego is a top-tier choice for organizations focused on the life sciences and aerospace industries.

Proximity To Key Business Districts: Data centers are positioned near the Sorrento Valley biotech hub and the military installations in the region. This proximity is vital for research firms and defense contractors who need immediate access to their data.

Regional Market Reach: This location effectively serves over 3 million people in the county as of December 2025. It provides a gateway for businesses looking to manage traffic between the United States and Northern Mexico manufacturing hubs.

Tax Advantage For Data Centers: California offers general energy efficiency rebates and special permits for large-scale backup systems. These incentives help offset the initial costs of building and operating infrastructure in a regulated environment.

Natural Disaster Risk

San Diego has a High risk profile with a score of 89.02/100 as of December 2025. The city faces several environmental challenges that require resilient facility engineering.

Primary Risks:

• Earthquake: High seismic activity is the most significant factor for local site selection.
• Wildfire: Regional fires can impact air quality and power grid stability.
• Heat Wave: Increasing temperatures put additional stress on cooling systems.
• Landslide: This is a material risk for certain low-lying or hilly infrastructure.
• Riverine Flooding: A local risk that is managed through specific site elevation.

Facilities in this market are typically constructed with seismic bracing and advanced filtration systems to mitigate these hazards. Drought and avalanche risks are secondary factors as of December 2025.